Jewellery Company Recovers Key Showrooms Just Before Diwali, Announces Q2 Business Update

PC Jeweller received another regulatory approval in its debt recovery process. The company received a letter confirming the development of the Debts Recovery Appellate Tribunal (DRAT) in Kolkata regarding an order in the joint application of the company and its consortium of lenders on the 7th of October 2025.

The announcement that the Joint Settlement Agreement between PC Jeweller and its group of lenders had been authorized by the Debts Recovery Appellate Tribunal (DRAT) caused a reaction in the stock. The company is now able to reclaim its showrooms and products that were previously in DRAT's custody after the tribunal's ruling.

Following the ratification of a Joint Settlement Agreement with its consortium lenders, PC Jeweller Limited declared on October 11th that the handover procedure for its showrooms and inventory had been successfully completed. The company's and lenders' joint application was previously approved by the Debts Recovery Appellate Tribunal (DRAT), Kolkata, which holds additional charge of DRAT Delhi.

This decision ordered the transfer of the premises that were previously under DRAT Delhi's control. As of October 10, 2025, PC Jeweller verified that the inventory and keys for its Delhi showrooms in Kingsway Camp and South Extension had been handed over. The company declared that it now fully owns all of its inventories and that none remain under the jurisdiction of DRAT or any other entity.

This development indicates increased investor confidence in PC Jeweller's turnaround prospects and is a significant milestone in the company's recovery efforts ahead of Diwali 2025.

In its most recent filing, dated October 18, 2025, PC Jeweller Limited said that 7,81,14,890 equity shares will be distributed to eight allottees who fall under the Non-Promoter, Public Category after 78,11,489 Fully Convertible Warrants (FCWs) were converted. This comes after 48,08,02,500 warrants were previously preferentially distributed by the firm to promoter and non-promoter investors through a private placement. The firm generated a total of Rs 32.92 crore from the conversion, which occurred at an issue price of Rs 42.15 per warrant, or 75% of the issue price.

PC Jeweller's paid-up equity share capital rose from Rs 724.86 crore, comprising 724.86 crore equity shares of Rs 1 each, to Rs 732.67 crore, which encompassed 732.67 crore shares, after this allocation. As a result, the promoter group's stake marginally decreased from 37.60% to 37.20%, while the public shareholding increased from 62.40% to 62.80%. The freshly issued shares are on an equal footing with the equity shares that are already in place. This conversion follows the stock split, which took effect on December 16, 2024, and split each Rs 10 share into 10 shares of Rs 1 each in accordance with SEBI requirements.

In comparison to the same quarter of the previous fiscal year, PC Jeweller recently reported that it achieved a strong performance during the quarter ending September 30, 2025, driven by strong consumer demand during the ongoing festive season, achieving standalone revenue growth of approximately 63%.

Additionally, throughout this quarter, the corporation was able to effectively lower its outstanding debt that was due to its banks by around 23 percent. This is on top of the about 9% drop that was previously achieved in the first quarter of this fiscal year and the more than 50% reduction that was accomplished in the previous fiscal year. This reduction in debt aligns with the company's objective of having no outstanding debt by the end of FY 2025-2026.

"During the quarter, the company expanded its retail presence by opening a franchise-owned showroom in Pitampura, Delhi. This addition further strengthens PC Jeweller's footprint in the region and supports its strategy of balanced growth through a mix of company-owned and franchise showrooms. Looking ahead, the Company is confident about building on its strong performance in the upcoming quarters and is focussed on reclaiming its leading market position, which it has held in the past," said PC Jeweller in a stock exchange filing.

With respect to the PCI Jewellers' business profile, the company is an Indian designer, manufacturer, and retailer of jewellery and operates with the brands Azva, Swarn Dharohar and LoveGold. PCI Jewellers' jewellery offerings include gold, platinum, diamond and silver and commemorative jewellery. PCI Jewellers' diversified brand portfolio enables PCI Jewellers to cater to different consumer groups.